IT Planning Presented by Neetika Agarwal-11DM087 Paras Jalan-11DM100 Rahul S-11DM116Yogesh Garg-11EMPDM214
Strategic IT PlanningStrategic planning is the systematic examination ofopportunities and threats in the business environment sothat you are in the position to identify those opportunitiesthat should be exploited and the threats that should beavoided.Answers 3 Strategic Questions:1. Where are we now?2.Where do we want to go?3. How will we get there?
Planning ChallengesWhy planning is so difficult Companies need portfolios rather than projects Infrastructure Development is difficult to fund Top-down Vs. bottom-up; radical change Vs. continuous Planning culture Business Goals and Systems Plans Need to Align Technologies Are Rapidly Changing
SITP APPROACHES ANDPREVALENT RESEARCH IBM business systems planning Rockart’s critical success factors (CSF) Stages of growth: Nolan’s stages theory Porter’s competitive forces model Porter’s value chain analysis E-business value matrix Linkage analysis planning Scenario planning.
BEST PRACTICES FORACHIEVING SITP Segars, Grover and Teng (1998) define the following best practices: Comprehensiveness Formal Focused Smooth flow Wider participation Consistency
Six Planning Stages of SITP1. Assemble a planning team2. Assess information needs3. Develop a vision and a mission4. Communicate the vision and seek buy-in5. Arrive at the project’s portfolio and define the scope of projects and their prioritization6. Evaluate IT projects for inclusion in application portfolio.
IMPLEMENTATIONCONSIDERATIONSThe following are important for the success of SITP process as planning as shown by Gottschalk’s studies: Adequacy of resources the implementation Level of user involvement during the implementation Adequacy of analysis of the organization’s information Needs Anticipation of changes in the external environment Solutions to potential resistance during the implementation Information technology to be implemented IT projects’ relevance to the business plan Who owns the responsibility for the SITP implementation Level of management support for the implementation Communication issues IT issues General business-related issues
e-Choupal Initiative An initiative of ITC for the economic development of farmers Challenge faced: translating development into economic freedom While ITC’s sales were stagnant, India’s soybean farmers were losing 60-70% of potential crop value Both farmers and processors were locked in an unproductive cycle
The Old condition The buying cycle: The government appointed licensed buyers ITC contracted with a licensed buyer The farmers were isolated from one another and knew nothing of market conditions until the day of sale ITC supplied each village choupal with: A PC with Windows/Intel platform Telephone connection lines A solar-powered power supply A dot-matrix printer
The Change With the arrival of IT capacity, farmers were accessing the world wide web through a dedicated site www.soyachoupal.com The site contained: weather, best practices, crop information, market information, FAQs, news, feedback, and information about ITC ITC quote: Before, farmers lived in a vacuum, a vacuum of rumors and gossip. Now, we are bringing information into the village, into the home. It’s natural for them
The Benefits In September 2000 there were 30 eChoupals By 2004, there were 1700 eChoupals ITC’s volumes grew by 400% in four years: 20% from better yields 80% from taking shares from competitiors Of the 3000 computers in use today not one has been lost, stolen, or vandalized Though still at the mercy of a global market, India’s soybean farmers were earning roughly 250% greater profits post eChoupal than pre Choupal
Barriers Entrenched practices Lack of understanding by farmers Fear of middlemen reprisals Potential high cost Economic illiteracy Suspicion of internal cheating Technology risk